Customers push shopping carts while exiting a Costco Wholesale Corp. store in Richmond, California.
David Paul Morris | Bloomberg | Getty Images
Check out the companies making headlines after the bell:
Shares of Costco dipped 1% during extended trade after the company reported sales that missed analyst expectations for the fourth quarter. The wholesaler reported $47.50 billion in revenue, just shy of Wall Street’s expectation of $47.57 billion, based on a survey of analysts by Refinitiv.
Net income grew to $1.09 million, or $2.47 a share, compared to the $1.04 million, or $2.36 per share a year prior.
Sales at Costco stores open more than a year also grew 5.1%. In the U.S., same-store sales grew 6.2% compared to 1.9% growth internationally.
Smart Global Holdings shares tanked nearly 17% after the memory chip-maker posted a fourth-quarter miss on revenue. Net sales came in at $278.4 million compared to the $285 million analysts expected, according to Refinitiv. Quarter four net sales are down 26% year over year.
Their COO and CFO Jack Pacheco attributed the earnings miss due to “weakness in [their] supply chain services business.”
Avaya shares surged 18% after the company announced a $500 million share repurchase plan, $250 million debt pay-down, and strategic cloud computing partnership with RingCentral. RingCentral will now be the exclusive provider of UCaaS solutions to Avaya, contributing $500 million to its partnership with Avaya including $125 million in preferred stock convertible at $16 per share.
RingCentral‘s shares, meanwhile, rose 9%. Avaya’s stock reached a new year-to-date low earlier Thursday.
Etsy shares rose 1.2% after the bell following Nomura Instinet’s initiation of the e-commerce company with a Buy rating at a $70 price target. New programs like free shipping should boost Etsy’s margins and market-cap, Nomura Instinet said.
Shares of Constellation Brands rose 1.4% after their CEO Bill Newlands suggested to CNBC’s Jim Cramer that investors were confused about its weaker-than-expected second-quarter earnings Thursday. The alcoholic beverage company saw wine sales decline, but were offset from its stake in Canadian marijuana producer Canopy Growth. Constellation’s shares fell more than 6% during Thursday’s trading day.
CNBC’s Jasmine Wu contributed to this report.
CORRECTION: This article has been updated to correct the portion of RingCentral’s contribution to Avaya that came from preferred stock.
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